- FrankonFraud
- Posts
- A Bank That Innovated Fraud Away And The Knoble Grows Stronger
A Bank That Innovated Fraud Away And The Knoble Grows Stronger
Frank McKenna
February 13, 2023
Hello From FrankonFraud,
I hope you all had a great week fighting fraud and stopping the bad guys.
We had some interesting developing stories this week to look at, including a South African Neobank that claims to have innovated fraud away, and a pledge by Biden to triple the attack force on identity theft.
The President Rallys America To Strike Back At Identity Fraud
You know fraud is bad when it makes the President’s State of The Union address. This week Biden vowed we would collectively strike back on the scourge of fraud that is plaguing Americans.
Now, let's triple our anti-fraud strike forces going after these criminals, double the statute of limitations on these crimes, and crack down on identity fraud by criminal syndicates stealing billions of dollars from the American people.
And then there is this announcement which probably surprised none of us. The Department of Labor keeps raising its estimates on how much unemployment fraud occurred during COVID.
20% Of Covid Unemployment Benefits Were Wasted - Mostly Due To Fraud
Slightly more than $1 out of every $5 distributed in unemployment insurance payments during the pandemic could have been improper, mostly fraud. Losses are estimated to be over 191 Billion. And these statistics came directly from the Department of Labor - so they should know.
Check Fraud Increased by 84% Last Year, Driven By Telegram Fraudsters
Check fraud is making national news, and we are finally getting some new statistics on how bad the check fraud problem has gotten.
We reported on the boom in check fraud exactly one year ago – Check Fraud Is Booming Again In A Post-Pandemic US.
Now the real damage is rolling in, and Paul Benda, an SVP with American Bankers Association, shared some new data on the rapid rise in check fraud during a video with CNBC’s Squawk Box. He spoke to CNBC to share how Telegram drives increased check fraud across banks.
Has This Bank Cracked The Code On Skimming? They’ve Never Had Fraud
Bank Zero has never had a single instance of card fraud. Zero. Zilch.
This seems to be against all odds because they are not only a neo bank, but they operate in one of the highest fraud risk regions in the world - South Africa.
It turns out, they think that they have found a way to innovate the fraud away, with a unique process and some special patents they invented to eliminate skimming.
It’s A Cat And Mouse Game With ChatGPT And Hackers These Days
It’s a cat-and-mouse game in Ai generated malicious content, and we’re already seeing it play out daily.
This week, Check Point researchers posted a blog revealing how hackers have already figured out how to bypass OpenAi’s malware restrictions and are actively selling the capability on messaging platforms like Telegram.
The Knoble - Grows to Over 2,500 Crime Fighters Strong
Ian Mitchell had a dream a few short years ago. He wanted to create an organization that brought together fraud fighters, scam fighters, law enforcement, financial institutions, and NGOs to stop human suffering.
So he created The Knoble. And I happily joined him in his mission. And so did 2,500 other human crime fighters, 211 companies, and 50 partner organizations.
Are you part of this army of human crime fighters yet? You should be. It's simple to join, and the world needs you 🙏.
Fraud Fighter Achieves a Lifetime Career Goal
Justin Davis is a great fraud fighter. He has his own blog called Perpetual Chess. You should connect and check him out.
He’s a CFE and a die-hard ACFE member. He always dreamed of getting published in his favorite magazine - Fraud Magazine. I know, I know, what can I say? He’s a fraud nerd like me.
Anyway, he finally made it happen and has a 4-page spread in next month’s issue. So check it out!
Congratulations to Justin on a big accomplishment and hitting a fraud career goal.
I hope you all have a great week!